For the Nine Month Period Ending December 2003


  Operational and Financial Highlights

·         Growth: Over the past nine months, loans outstanding have grown by 62% from Rs. 4.9 crores (US$ 1.0 million) to Rs. 8.0 crores (US$ 1.8 million).  Total clients have also increased from 13,519 clients to 21,946 for the same period.

·         Profitability: SKS has made significant progress towards operational self-sufficiency, with fiscal year-to-date operating self sufficiency at 95%, compared to 80% for the same period last year.

·         Portfolio Quality: Portfolio-quality remains excellent with portfolio-at-risk > 30 days of 0.0%.

·          Transformation to a non-banking finance company: SKS Microfinance has filed its application with the Reserve Bank of India and is waiting to receive its license to operate as a non-banking finance company.



“I am truly enthusiastic about working with SKS and increasing its ability to provide services to more women entrepreneurs.”

                                                - Sitaram Rao, Director & Interim CEO



Borrower Success Stories:

Raipally Anjamma

Age: 30
• 2 children, Sudhaker and Srinavasalu, 6 and 4 years
• Hometown: Raipally, Medak District, Andhra Pradesh
• First Loan Issued: Rs. 5,000 (US$125), 1998
• Business:  Goat Owner

• Caste: Backward Caste


Anjamma is one of the poorest members of Raipally village where SKS has been operating since 1998.  Anjamma and her husband are Dalits (“untouchables”) and work as landless laborers. Together, they earn Rs. 40 (US$1) per day.  Anjamma’s husband, however, is an alcoholic and spends much of the family income on liquor.


One night, Anjamma was sexually assaulted while her husband was out drinking.  Following the assault, SKS gave Anjamma a group fund loan of Rs.1,500 (US$35) and an emergency loan of Rs.1,000 (US$25) to build a new house.  Together with borrowings from friends, Anjamma was able to build a small stone home.  Some months later Anjamma became pregnant with her second child, and SKS assisted her by providing a maternal health loan.  She gave birth to a healthy boy and proudly refers to the child as the “Sangam’s baby.”

Since 1998, Anjamma has used loans from SKS to purchase five goats. She has since sold three of her goats and has used her earnings to purchase half an acre of land which she uses to grow and sell lentils.  Now that Anjamma is able to provide for her family, she can send her two children to school.  When asked about SKS, Anjamma said, “The Sangam has been with me in my difficulties.  They took care of me as a father takes care of his daughter.”

We are very proud of Anjamma and are grateful for the support from our funders who have made her dreams attainable.




Message from Founder and Chair, Vikram Akula

As we complete the final phase of transforming into a regulated financial services company, we continue to take steps to make our leadership team even stronger. For starters, as of February 1st, I will transition from CEO to Chairperson. Meanwhile, current Board Member, Sitaram Rao, will serve as Interim CEO until we complete our CEO search. Sitaram is a Chartered Accountant with over twenty years of experience in financial services, including chief executive roles. His long-time involvement with SKS as well as his leadership and vision makes him the best person to steer SKS through the final phase of transformation.  For Sitaram’s biography, please visit

- Vikram Akula, Founder & Chair





For more on SKS, please visit or contact us at [email protected].


For donor or investor inquiries, please contact Anu Pillai ([email protected]) or

Ashish Damani ([email protected]).